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UK retailers urged to include mandatory delivery fees in online prices

The CMA is tightening scrutiny of online pricing, warning UK retailers to include mandatory delivery charges in advertised prices or risk substantial penalties.

Mohamed Dabo November 11 2026

The Competition and Markets Authority has warned online retailers to include unavoidable delivery charges in advertised prices as it increases scrutiny of pricing transparency and threatens enforcement action against businesses that fail to comply.

UK retailers have been urged to review their online pricing practices after the Competition and Markets Authority (CMA) renewed its warning that mandatory delivery charges must be included in the total prices shown to consumers.

The warning, issued on 2 November 2026, follows concerns that some businesses are still failing to disclose compulsory delivery fees clearly, despite requirements under the Digital Markets, Competition and Consumers Act 2024 (DMCC Act).

The British Independent Retailers Association (Bira) highlighted the warning on 9 November, encouraging retailers to check that their pricing practices comply with UK consumer protection law.

The CMA said businesses that continue to breach the rules could face enforcement action, substantial fines and orders to compensate affected customers.

Mandatory delivery fees must be included upfront

Under the DMCC Act, retailers must include unavoidable delivery or collection charges in the total price displayed to consumers.

The rules apply across the online shopping journey, including advertisements, product listings, shopping baskets and checkout pages.

Where delivery is compulsory, the minimum unavoidable charge must be included in the price shown from the outset.

In its open letter to online retailers, the CMA stated: "The first price consumers see should be the price they pay."

The regulator said incomplete pricing makes it harder for shoppers to compare offers and understand the full cost of a purchase.

Retailers can still show product prices and delivery fees separately, provided the total payable amount is clearly displayed.

Where a single delivery fee applies to an entire order, businesses can use a running basket total that includes the compulsory charge.

Optional delivery charges must be clearly disclosed

The CMA has also clarified how retailers should present optional delivery charges, including fees for next-day or scheduled delivery.

These charges do not normally need to be included in the initial total price. However, retailers must clearly explain when additional fees apply and provide relevant pricing information.

If a charge cannot reasonably be calculated in advance, businesses must explain that an extra fee may apply and how it will be determined.

The regulator has warned against hiding important delivery information on separate webpages or behind menus and expandable sections that shoppers may overlook.

Where customers must choose between paid delivery options, the cheapest available option must be included in the total price until another is selected.

For charges that vary by delivery location or other factors, retailers must provide enough information for customers to calculate the cost. Once the charge can reasonably be determined, it must be included in the total price.

The rules aim to prevent shoppers from encountering unexpected fees late in the purchasing process.

Online marketplaces face the same pricing rules

The CMA's warning also covers online marketplaces, price comparison websites and search engines that display products from multiple sellers.

Where different sellers apply their own compulsory delivery fees, the total price shown for each product must include the relevant charge.

The regulator identified several practices that could breach consumer protection law, including excluding mandatory delivery fees from advertised prices, omitting them from basket totals and revealing them only at checkout.

Such practices can amount to drip pricing, where a product is initially advertised at a lower price before unavoidable charges are added later in the transaction.

The CMA is urging businesses to review their websites, mobile applications and online advertising to ensure prices remain clear and accurate throughout the purchasing process.

Retailers risk substantial fines for non-compliance

The CMA has warned that it will continue monitoring online retail pricing and may take enforcement action against businesses that fail to comply.

Under the DMCC Act, businesses found to have breached relevant consumer protection rules can face fines of up to 10% of their worldwide turnover or £300,000, whichever is greater. They may also be required to compensate affected consumers.

In its November 2026 letter, the CMA reported that it had already taken enforcement action against four businesses over drip pricing.

The cases resulted in fines totalling more than £5.1m and over £1.35m in refunds for affected consumers.

The regulator also warned that it could use its enforcement powers against businesses that continue to disregard pricing requirements.

The action demonstrates the financial risks facing retailers that fail to disclose compulsory charges clearly.

Bira calls for review of retail pricing practices

Following the CMA's warning, Bira has encouraged retailers to review how they display product prices and delivery charges across their sales channels.

The association has directed businesses to government guidance on clear pricing, which explains their obligations under UK consumer protection law.

The CMA's Price transparency guidance (CMA209), first published in November 2025, provides further information on displaying mandatory fees, variable charges and optional costs. A supporting summary was published in January 2026.

The guidance also addresses pricing in advertisements, product listings and shopping baskets, including cases where delivery charges apply to an entire order rather than individual items.

For retailers, the warning highlights the need to check pricing systems, delivery fee calculations and customer-facing information to ensure compulsory charges are included from the outset.

The requirements apply to businesses selling to UK consumers, including international retailers and online marketplaces serving the UK market.

Businesses operating across multiple markets must therefore ensure their UK-facing pricing practices meet the country's consumer protection requirements.

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